Property developers will have to complete the registration procedures with Ajman Real Estate Regulatory Agency (ARRA) before July 1 or be fined, the organisation says. "We have stated in early press releases that May 1st is the deadline to receive registration applications from developers," Omar Barguthi, the director general of ARRA said. "As a result, a large number of developers rushed into ARRA's offices and proceeded with the registration process."
However, many developers still need to complete the procedure and provide the right paperwork before they can actually get the green light to open the required escrow accounts. "It is not enough that a developer submits part of the required documents to ARRA to be a licensed real estate developer," Mr Al Barguthi said. Property developers who have not completed all the procedures or failed to provide the documents needed will be fined Dh100,000 per month after the deadline, according to the governmental agency.
"ARRA will take into account circumstances of developers who failed to register because of reasons beyond their control, Mr Barguthi said. "The door is widely opened for investors and developers proposals or complains and, [we are] ready to work with them to reach proper solutions." ARRA was set up early this year, to oversee regulation of Ajman's property sector. Registration and escrow accounts for each project are now compulsory for developers before asking investors for any further payments. Data on registered developers will soon be published on the website in collaboration with the Dubai regulatory body RERA.
